Loan Eligibility:
After making consistent contributions for SIX months, members are eligible to borrow up to twice their 100% savings. This will require two guarantors who are also members of the same savings group. Guarantors are not required if a member borrows a loan inside his or her 50% savings range. For example, a member with KES 30,000 in savings (100%) can borrow up to KES 60,000 with two guarantors but he/she also can borrow KES 1000 – 15,000 (50%) without guarantors.
Boost Loan Offers
BOOST loans are offered at an interest rate of 10%, repayable within one month if the loan is less than KES 5,000. Loans between KES 5001 - 10,000 are repayable within two months at an interest rate of 12%.
Interest and Profit Distribution:
Interest from loans and profits from group investments will be added to the group’s overall profit and will be divided among members at the end of every year, along with their 50% savings dividends.
Guarantor consent:
When a member agrees to guarantee their partner, they also agree to carry the responsibility for that partner only if they default on a loan or disappear with the group's funds. This will be accomplished by deducting the guarantor’s savings account to cover the outstanding loan balances.
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